ZA Bank, Hong Kong’s largest digital bank, launches retail crypto trading
Hong Kong’s ZA Bank has announced the launch of crypto trading services, allowing retail users to directly trade assets such as Bitcoin. ZA Bank claims to be Asia’s first digital lender to offer such a service, and now allows users to buy and sell Bitcoin and Ether via fiat currencies HKD and USD through its app. To access this new feature, users must first open an account with ZA Bank and complete a risk assessment to ensure they are ready to handle volatile crypto assets.
With this service, ZA Bank aims to simplify access to cryptocurrencies for retail users (individuals trading for personal gain) and provide benefits such as zero commission for a limited time. On a broader scale, the bank has expressed its ambition to disrupt the traditional financial sector (TradFi).
“As the only bank in Asia to offer funds, US equities and virtual asset trading services, ZA Bank aims to advance the Web3 ecosystem in line with regulatory policies and market demand, while promoting deeper integration between finance and technology. Start trading crypto with as little as $70 / HKD 600, offering maximum flexibility. Enjoy zero percent commission for the first three months,” said ZA’s announcement about the development.
Trading and owning crypto assets is legal in Hong Kong. However, the region does not recognize any crypto asset as equivalent to the HMO.
In 2022, Hong Kong ranked first in Forex Suggest’s ‘Worldwide Crypto Readiness Report’. The same year, Hong Kong authorities had said they were exploring ways to legalize crypto trading by retail investors, review ownership rights for tokenized assets and check the legality of smart contracts.
ZA Bank, which was licensed by the Hong Kong Monetary Authority in 2019, stated in its post that Hong Kong’s continued interest in exploring crypto assets led the company to introduce its crypto services.
“A recent survey by the Hong Kong Association of Banks4 shows that almost 70 percent of respondents believe that if banks offered virtual asset trading services, it would make it easier to buy and sell virtual assets or facilitate the trading of could help popularize cryptocurrency. The rise of cryptocurrency offers investors more diverse asset allocation options,” the announcement post said.
According to Calvin Ng, deputy managing director of ZA Bank, the bank has partnered with HashKey Exchange to provide bank-grade security for virtual asset trading.
This year, Hong Kong has accelerated efforts to establish a regulatory framework to oversee the crypto sector. In June, the HKSAR Legislative Council established a new subcommittee focused on drafting comprehensive crypto legislation.
Hong Kong authorities also monitor crypto companies’ compliance to ensure investors are protected from scams.
